Dáil Éireann Debate, Wednesday - 6 May 2026
502. Deputy Barry Heneghan asked the Minister for Housing, Local Government and Heritage the assessments that have been carried out by his Department on the impact of current and proposed rent regulation measures on the supply of rental accommodation, including any available analysis of landlord exits or changes in rental listings; the steps being taken to maintain adequate rental supply; and if he will make a statement on the matter. [32047/26]
View answerIn line with a commitment in Housing for All, a review of the Private Rental Market was undertaken by my Department and published in July 2024, which included significant consultation with stakeholders. It set out an overview of the rental market in Ireland, including the composition of the market and trends in rent levels, set out suggested policy objectives and considered a range of potential avenues for policy change to support these objectives.
Following on from this review, the Housing Agency was commissioned to undertake a comprehensive review of the Rent Pressure Zones (RPZs) rent control system. The key focus of the review was to assess the operation of RPZs since their introduction and consider their impact on the market and relevant stakeholders, including the retention of landlords and new investment. It considered whether RPZs should continue without change, or be removed, modified or replaced. The review, which was extensive and detailed, also included options and recommendations in relation to potential amendments to rent control.
The review, published on the Housing Agency website, involved engagement with a wide variety of stakeholders, including investors, representatives of landlord and tenant advocacy groups, academics and the RTB. The Housing Agency submitted its report to my Department at the end of April 2025 and advised that its preferred recommendation was to modify the current RPZ rent controls.
On 10 June 2025, the Government approved policy measures including modifications to rent controls to come into effect on 1 March 2026 in order to boost investment in the supply of homes available for rent and keep existing landlords in the market. The changes agreed also provide significantly stronger tenancy protections and are finely balanced between the interests of tenants and the need for further private investment in the rental market across the country, taking account of stakeholder engagement.
Multiple expert reports, including those from the Housing Agency, the Department of Finance, the ESRI, the OECD, and the IMF, agreed that the previous RPZ system was a major obstacle to increasing rental supply. The changes were introduced in order to attract increased investment in the rental market and thereby increase the supply of properties available for renters.
The Residential Tenancies (Miscellaneous Provisions) Act 2026 came into effect on 1 March 2026, introducing a new national rent control for all tenancies, which limits rent increases to inflation as measured by the Consumer Price Index (CPI) up to a maximum of 2%. For new build apartments and student-specific accommodation, however, rent increases are capped at the level of inflation (CPI) only. These changes were introduced to promote greater investment in the rental market and to increase the supply of rental properties. The Act also provides significant improvements in security of tenure for renters.
Delivering Homes, Building Communities recognises that the rental market is an important element of a well-functioning housing system. It contains a suite of measures to support domestic and international investment in the delivery of new rental properties, in particular the supply of new apartments.
